Hauge, a great defender of Israel, also knowingly gave incorrect information to the Norwegian government about Israel's intended use of heavy water sold by Norway. He'd been sent to Israel in 1960 as an attorney in private practice, to ensure that the heavy water would be used only for peaceful purposes, according to conditions of the sale. In a report to the Norwegian Foreign Ministry, Hauge wrote that the Israelis were not using the heavy water for military purposes, even though he knew better.

He had visited a nuclear reactor in the Israeli desert, according to his own diary. He'd carried out the task after the US suspected Israel was developing an atomic bomb, and had been denied inspection.

Njølstad also wrote that Hauge bluffed about his own personal contribution at the start of the war. Hauge was anti-military during the time leading up to the German invasion on April 9, 1940, and a doctor had helped label him as medically unsuited for combat even though he was a well-trained athlete. That meant he didn't need to do service, leading to the biggest paradox of his life: The man who led the armed resistance to the Germans hadn't taken part himself in any of the battles right after the invasion.